look at that, kennedy space center, when i worked in orlando, way back in the day to watch it lit off, and it was just incredible and to think that will never happen again is kind of weird. neil cavuto is, neil cavuto is coming up. >>neil: now, there will be hell on the capitol hill. welcome, everyone, i am neil cavuto. fox on top of a secretary of state with a tin cup out and fault too many politicians willing to throw coins in. hillary clinton lobbying congress today to keep the money flowing to the middle east. she is facing huge resistance from republicans and a lot of democrats who say they have had it with pouring good money after bad in the middle east. images like these do not help.

and ron paul said long before this, called to close the spigot and close it now. >>guest: good to be here. >>neil: there are many more in your camp. i am wondering, having heard this before, with a dust up of violence and this is quite a dust up, but, it fades. the resistance to lending money fades. we go back to lending money. >>guest: i lost that last sentence or two. >>neil: the idea that as opposed so many are to giving more money in the middle eat, in the end, they do so. what do you think of that? >>guest: they been doing that for a long-term. they will probably do it again. the people are not putting up with it. there is truth that foreign aid is small compared to a lot of

other expenditures. the principle, the thing is it leads to trouble and intervention, so it is a good target. i hope it does this good but they will capitulate and try to buy friends. it leads to no more than more trouble and more debt and the principle of us trying to influence the world and own the world and change the world by producing money, printing money and sending it over there is failing. we ought to give up on it. >>neil: the agent against doing that, like john mccain and others and others who we will talk to, you cannot, not give money. you can't just divorce yourself from this region. what do you say to that? >>guest: well, i say, not? it will happen if we run out of money, when people do not trust us and we have a currently crisis, it will hand.

but it does not do any good. what good was the $40 billion we gave to mubarak and egypt? it fell apart and there is chaos there now. i would say it was a bad investment from the beginning. they say, well, we have to do this if israel. israel is worse off when these things end. they could argue in the short run, if we do not prop up the governments it will be harmful to all our policies in the middle east but it is going to end. it causes turmoil. it causes the overthrow of the governments. we cannot always control the people who take over. we bought the government under mubarak and now there is a new government, whether it is libya or egypt or syria later on, it will be the al qaeda that will take over so we don't benefit, israel doesn't benefit, the taxpayers don't benefit. it is a foolish policy. it will come to an end. the sooner the better. >>neil: the argument we hear, congressman, we step out, china steps in, russia steps in, all

to our detriment, all to embodien iran and to embolden sinister moves to us. >>guest: they are smarter than that. they probably won't do it. if they do, i think the soviets and the russians had their fill of it when they were in afghanistan. they were stung badly. they wised up and left and went through the disintegration of the empire. china doesn't have this history. they are like a catalyst. they invest in iran and invest in the countries. they do not have the same characteristics we have had for 100 years of putting troops overseas and occupying countries and picking and choosing dictators. it is a possibility but unlikely. if it did, it would fail to them. if it fails for us, it would fail to them. i would let them have the burdens and problems and complications rather than have the american people suffer. >>neil: do you think they just hate us? some of the extremists, we have

a president who has reached out to the muslim world after a moderating approach after a president did not. no matter how you slice it and no matter the administration, invariably the same, we hate you america response. what do you make of it? >>guest: i think, actually, we on the republican side lost ground because we have been overly aggressive. obama, who do i do believe approaches my position of nonaggressiveness and nonoccupation, but he has taken a different tone. he will benefit from this politically astronaut being a bomb thrower. my position generally has been that in the many years i have been here in washington, that policies, especially foreign policy, it really never changes from party to party. there is a general endorsement of us being involved.

it has been going on for a long, long time. i have been working hard to try and change this at dude and have a much more pro american foreign policy and deal with the budget deficit and convince people it is not in our national self interests to have this position that we try to dictate to the world who their leaders should be and who the dictators should we and we can buy our friends. i don't believe it is possible. >>neil: there is the detail that we do not have the money, anyway, but that is a separate issue. thank you very much, ron paul. to capitol hill right now where there is a lot of talk, but, still, thought a lot of action as the nation prepares to head off what some are calling a fiscal cliff. lawmakers are just prepared to head home. we will talk to house majority leader cantor in a moment. first, the latest from washington, dc. >>guest: there is not going to be any action on a federal budget deal or on the looming cuts to domestic and defense, programs until after the election. there is too much uncertainty on capitol hill about who will be

in charge of congress and the white house. before they leave to go home the top senate leaders have some parting shots. here is what the top republican had to say. >> every single american will get hit with a massive tax hike in just three months. that will happen unless we act to prevent it. democrats say we should not do anything about it. we should just go off the cliff and see what happens. >>reporter: democrats contend whatever they try to pass, it is held up in the g.o.p.-led house of representatives and republicans are not willing enough to compromise on a budget deal. that means more tax increases. i have been around here a while. i understand how we come together in times of crisis. i do not believe we will go over the fiscal cliff.

the work that needs to be done, everyone knows what needs to be done. >>reporter: on the post election to-do list, the expiring bush tax cuts, the expiring payroll tax cuts, the farm bill, and the transportation bill, just do make a few. >>neil: just a few details. molly, thank you very much. >> first refusing to label this a terror attack, now the white house says itself evident said it is now self-evident it was.

not not for the first time the white house is calling the deadly embassy violence in libya a terrorist attack, a 180 from what they said early in the

week. i will not put labels on this until we have a complete investigation. >> you do not regard this as an act of terrorism? >> i don't think we know enough. we will continue to assess. we will have a full investigation now. we will be in a better position to put labels on things. >>neil: so the investigation is drop -- is done. >>guest: they had to say it because yesterday the counterterrorism testified before congress and said it was a terrorist attack. they could not hide behind this spontaneous demonstration that become violent or it was a result of a youtube movie. what they are trying to do is absolve themselves of any responsibility politically and in foreign policy terms. >>neil: it is never as obvious as it appears that maybe they are holding back on us in there

could be more to this that we do not know and they are just getting their arms around it? or is it as simple as you say, a little bit of covering their behinds? >>guest: let me tell you why it is covering their stories. first of all, president obama is not running to re-election on his economic success. he is running on foreign policy success. he killed bin laden. al qaeda is finished. what happens if al qaeda isn't finished and is back and is back with a vengeance? there goes that political argument. what haunts democrats is jimmy carter in 1980. he was running for re-election as president. he negotiated the peace between the egyptians and the israels. he did not have a great economy but he was running on foreign policy but terrorists and diplomats in the embassy in tehran were taken hostage by

students. jimmy carter tried to rescue mission which failed. jimmy carter was not re-elected president. ronald reagan was in 1980. a lot of people feel it is because of that october surprise. it was because jimmy carter became the personification of an america that was on the decline. that has to haunt every democrat candidate running for re-election they do thought want to be compared to jimmy carter. and president obama does not want to be compared to jimmy carter. >>neil: you think of the polls here in october leading to the election allowing for all of that, they were dead even until a breakthrough for ronald reagan that weekend before. i am wondering whether this is an issue we are trying to by time or the administration is trying to calm things down? focus on the fact it could have been an aberration but it is much more widespread? >>guest: i think it were more

widespread and the wheels are coming off troll. the question is, when? what happens if rather than assassinating the diplomats they were taken hostage? what conversation we would have right now if you saw al qaeda in black ski masks with a black al qaeda flag in the background and a loss tag video of americans blindfolded and kneeling, it would be difficulty. what prevents more hostages in the future? you look at the youtube video, what will be the reaction be when bin laden comes out? >>neil: that is next. with the fidelity stock screener, you can try strategies from independent experts and see wh criteria they use. such as a 5% yield on dividend-paying stocks. then you can customize the strategies

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>>neil: you are looking like at the house of representatives floor, voting on a resolution

blocking waiving work requirements for welfare reform law which has the house majority leader fuming. >> if you look at what the president has been about science he has been in office, it has been about waking work requirement when it has to do with the food stamp program. with all the rancor i asked the congressional research service, a nonpartisan arm of the congress to take a look at, and this is their study, to look at the history of the food stamp program under the obama administration. the obama administration and the president asked for the waiver of the work requirement in the stimulus bill. what we have seen is the president continually has supported waking the work requirements. the impact of that on the food stamp program is, we have seen a doubling of the population that would otherwise be required to work under the food stamp

population that now they are benefiting but you did not put in the work requirement. >>neil: but a lot of the people are on food stamps because the poverty level has increased and the economy is iffy and it is naturally it would increase to this level. >>guest: no question if a tougher economy you will see the roles swell but that population only swells about 40 percent. we are talking about able bodied individuals without dependent who otherwise would be subjected to the work requirement. that population itself more than doubled. it was over 100 percent increase. this is the point. nobody wants to take away the benefits from people in need. we want to make sure that they begin to need them less which means they get back to work. this work requirement includes the ability to go to a training program. it makes no sense as to why the president would be asking for the waivers. history has shown he supported

waivers throughout his presidency on the snap program,s why i believe you see him asking for the waiver of the work requirement again under welfare. >>neil: you could twist this around and i understand where you are coming from, but democrats will seize on your remarks today. others on the heels of mitt romney's 47 percent remarks saying, see, the republicans have a dismissful view of the needy. how without answer that? >>guest: that is not true. we have a bill we will vote on this afternoon that is a bill to overturn the administration's move to lift the waiver requirement if work. we do not want to take away from people in need, the safety net. we don't. we want to make sure that less people need the safety net. the way you do it is help them get back to work. i help them access training

programs. we want life to work. we do not want to problem them of what they need. we want them to need the safety net and get back in a productive mode so they can begin to determine their own destiny. >>neil: i mentioned mitt romney and the 47 percent remark. what did you think of that? >>guest: we want to focus on the fact that republicans care about people's well-being. the purpose of some of the fiscal policies we put on the table is to sustain the safety net, make sure that people who need the safety net have access. >>neil: you do not think he was throwing half the people under the bus? >>guest: no, i don't. it is a distraction that the obama campaign is trying to put out there to take away from

their record which has been a failure. i do believe you talk to most people in the country and though know we can do better. they know their life can work better if it were just for better leadership in washington. >>neil: are you worried about how it is resonating in the polls? i know it is early to make make a big deal out of polls. things do not look good for the ticket, maybe even the senate for the republicans. in your state of virginia, the democrat has a four or five point lead and hopes of the republicans taking the senate could be iffy. only time tells. somehow, republicans are not seizing the initiative or botching it. what do you say? >>guest: well, in virginia, neil, the issue is about jobs, about helping people get back to work. we have a huge issue senate commonwealth about the defense

cuts. we are a defense rich state. this president has failed to put a solution on the table to help avoid the defense cuts. >>neil: you signed on to that sequestration that means the defense cuts will occur. >>guest: the house of representatives has taken action to say we do not want the defense cuts. we want to act fiscally responsible to make sure we are slimming down the federal spending but do not do it in a way that disproportionately impacts our defense-related jobs. >>neil: were you surprised when mitt romney criticized the sequestration thing and both sides, republicans and the white house, for how that was handled a year ago. he said the sequestration idea, which is cutting our defense, is an extraordinary miscalculation. that was on "meet the resolution," and i thought it was a mistake on the part of the white house to propose it and a mistake for republicans to go along bit. >>guest: the reality is we were in a very difficult

situation with the country poised to enter into a stage in which we had not been into, the possibility that the country would default on its debt. we didn't ever want that to happen. no one wants to bring this country into a default. we operated in good faith that we could come together and solve the problems for the good of all the country. unfortunately, the president and his administration has naughton -- not been willing to help us solve the problems much the election is about having a leader in place to solve problems, that understands the plight of so many americans that want to get back to work and a president who understands how to create an environment for small businesses to create jobs. >>neil: what is your gut telling you about how we are going to deal with the fiscal train wreck at the end of the year when all the bush rates expire and we have the medicare and payroll tax issue to deal

with? they all sort of pile up like planes docking up at la guardia all at the same time. is it your thinking that everything is kicked down the road for another quarter? another three months? six months in until everyone can deal with this in a calmer fashion? a lame duck congress deals with it? what? >>guest: so much of the existence of the fiscal cliff comes from the difficult time that the country has been to and the disagreements this washington over the last two years. much of that has to do with tax rates. to election will decide whether tax rates go up or thought. if rebound is re-elected, taxes are going up. if mitt romney is elected, taxes will not go up. that is a big part of the logjam here, of a very different view of how you approach the question of the fiscal cliff, whether you think washington needs more of

people's hard earned money especially if a tough economic time or whether we want do focus on growth, focus on getting people back to work and do the next things we have to do this washington is the federal government begins to live in its means like small businesses. >>neil: but do you think, shy of the lame duck dealing with this, but they will look at doing make a three month or six month extension all rates and hash this out next year regardless of who selected? >>guest: i would hope, and i know mitt romney has committed, if he selected, we will extend the exiting rates including the individual marginal rates and the rest for a certain amount of seem to were gauge tax reform. >>neil: we are getting word from the president on air force one saying there is no doubt in his mind this was a terrorist attack and it resulted in the

death of our libyan ambassador and three others but that did not jibe with what the administration officials said days ago. if that is the case, you say we have to be engaged in that region. you said withdrawing from the region with embolden the extremists and justify bin laden's strategy leaving the moderates to combat the forces of violence alone. ron paul has said, enough, stop it. get out now. not a penny more. what do you say? >>guest: the question is whether we believe in america we should lead or not. like it or not, we have reached the point of being the only superpower in the world. if we want to continue to be able to operate in a secure way, securing our citizens at home, our interests abroad, making

sure our businesses stay competitive abroad, we have to project our leadership. there are so many of our allies in that region. israel faces a threat. there are other allies in the gulf region, the arab states, looking to the united states for leadership. they are not seeing it. >>neil: do we give them more money in why good money after bad? if we cannot buy their love with the billions we have given why put a deposit on their hate? ing it is not to buy their love. the point of remark i have made, that you refer to, are the fact that our aid doesn't come because someone is entitled. it comes if our allies there are going to stand with us and stand for the thing we believe in. >>neil: but lately they vicinity. it puts well expended people like yourself in a box. what do you do? >>guest: the question is, especially when you look at the government of egypt, the muslim brotherhood, obtaining power

there, that is a very troublesome development. that's where i think the united states and our foreign policy will have to take heed whether that government is going to recognize u.s. interests, will recognize the fact that we believe the best route forward is for egypt to recognize its agreement and peace treaty with our ally, israel, can we stand up against extremism. we have to stand up against islamic extremism that wants to overthrow everything we are about if that region as well as at home. >>neil: let's move to a less onerous issue. you had a bipartisan event where you were doing the inaugural inaugural...what do they call it? i am watching you -- yes, the lot form. i am watching you and nancy pelosi, a bipartisan event. she could not get the nail in there. what was going on?

>>guest: she was being general tell with the nail but in the end speaker boehner and helped her finish off the nail. >>neil: do you guys get along in general in the sharp differences notwithstanding, the rap is regardless of the election, you still will not be able to work together? >>guest: we have to. i believe, really, that reasonable people can disagree on policy or anything else. i go back to the fact i have been married 23 years. i don't agree with my wife on everything. we agree to disagree when we have to and we go about trying in my home, build a family, raise a family, and have a homelife. >>neil: i do it better than you, i say you right, honey, how could i be so stupid. i understand your strategy. >>guest: the same thing here. we will have disagreements. most americans expect that. find ways to work together. that is real bipartisanship if you can set aside the differences and find things can you work on in common to row

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as wall street's finest see it the governor is being too soft and isn't fighting. could we see a lot of them fleeing? charles gasparino says not quite. >>guest: i spoke with people in the romney camp and wall street people today. here is what i know. they are annoyed. mad. angry. agitated. they want him to fight back. they are putting calls into the romney people saying you must fight. they are trying to get one-on-one's with romney which is difficult. he days council from a group of people including his wife who is a good person but he does not listen to a lost outside people. when he does, he does not take a lot of what they say. he has his strategy. that said, the real question is, and this has been in the media, is wall street, and there was a report this wall street will do a 180 and back obama. based on the numbers today and based on what i hear numbers going forward that is not happening. the romney forces are

scrambling. they are out there and campaign officials are scrambling and going to wall street to secure, shore up the support. they are telling me, there is not much leakage. i am getting that. >>neil: so far. but your friends will jump ship if it looks like their guy . >>guest: that is what they document they made a bet. it is hard to reverse this bed. now, you give a lot of money to obama, what do you get for the last less than two months ago in what is obama going to give them? will he do a 180 on dodd-frank and stop calling them fat cats? there is not a lot they can get out of a personal bump, there is a lot they can get out of a president romney. >>neil: they think he has a shot? >>guest: it is not worth abandoning now. they may slow down the giving. if it gets worse they could slow

down. they are not jumping ship. >>neil: what are they telling him to do? i know everyone has advice. >>guest: the four people i talked to who are senior, they are saying, listen, fight. fight on that 47 percent. explain what you meant by 47 percent of the people may not vote for me, explain what you really meant by that. they are depending on government and i have a plan that will not make them dependentent and i want less government dependency. fight them on middle east strategy. he was criticizing a policy that is absurd, they are running away saying a video caused the riots and the death of our ambassador in the middle east al-libi -- middle east and libya. it defies logic. >>neil: they know he is against the media. >>guest: that is why you fight. in a jack kemp happy warrior

way. i see you have jack welch on next. >>neil:d he is supporting linda who is self financing but with people like jack welch you do not have to worry. thank you, charlie. and now, jack welch, mr. passion on something he says is noticeably lacking here. that is next. ney: this president cannot tell us that you're... better off today than when he took office. anncr: well... here's where we were in 2008... tv anncr: the worst financial collapse... since the great depression... tv anncr: american workers were laid off in numbers not seen... in over three decades. anncr: and here's where we are today... thirty months of private sector job growth. creating 4.6 million new jobs. .

the president's plan asks millionaires... to pay a little more... to help invest in a strong middle class clean energy. and cut the deficit. mitt romney's plan? a new 250,000 dollar tax break for... multi-millionaires. roll back gulations on the banks that cratered the economy. and raise taxes on the middle class. presidenclinton: they want to go back to the same old... policies that got us in trouble in the first place. president obama: we're not going back, we are moving forward. anncr: forward.

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did you? >> i'm talking about a perspective of individuals who i am not likely to get to support me. i recognize those people who are not paying income tax are going to say, gosh, mitt romney talks about lowering income taxes, that is not attractive to them. those dependent on government and those who think government's job is to redistribute i will not get those. there is a guide in the country about that view. some believe that government should take from some to give to others. the president makes it clear in the tape released today that is what he believes. that is an entirely foreign concept. i believe america was also on the principle of government caring for those in need but getting out of the way and allowing free people to pursue their dreams, free people pursuing free enterprises is the only way to create a strong and growing middle class and the only way to help people out of poverty. >>neil: the governor there and since then not backing down.

is that what jerk welch meant when he treated: i hope mitt romney is listening to murdoch advice, our ultimate block, and no room for amateur. jack jones me right now. >>guest: very nice to see you. >>neil: you are all about passion. straight from the gut. everything. that's been the rap against romney that he is a brainiac but not good in position. >>guest: you have a job to do. that is to describely rigs of what america will look like in 2014 and 2016 in a romney administration and what it will look like in an obama administration. it is so clear. go down through the economy, he will cut taxes for everyone. when a media person says, but

the middle class will be raised $2,000, don't you bring that up. i am taking care of the middle class. he will get the regulations down. he will not have jackson in environment, coming it every day with job-killing regulations, he will have pro business people that will regulate probably but will put every regulation through a slow growing america with obama 1.5 percent at best america, staggering. >>neil: why has he not done that? >>guest: well, he will. he has --. >>neil: do you worry time is running out? >>guest: america is waiting

for the division. >>neil: is it in the debate? >>guest: it needs to be in a big speech. he has to think big. get off the little stuff. >>neil: like what little stuff? infighting in the campaign? >>guest: obama said this in 1998. he said this. he went here. he cut somebody's hair in high school. obama does not re-release the reports. all this junk. what is america going to look like? what do we as members feel in 2014 and 2016? what will our children be looking like? will we have jobs? will we have growth? will we have an economy that feets jobs? jobs create a dignity and a success and a vibration in the country. he can do that. >>neil: you are not in the school that says he doesn't have it. high doesn't have that fire in the belly. >>guest: i'm not if that school at all.

i'm in the school that guys had to go out and raise my money to compete with a machine, to compete with a guy who has the presidency who each day gives away something else. "new york times" said a list of new giveaways, who takes welfare rules and makes them easier. >>neil: why do you think, i never buy the polls i don't know why it is important but it is out there, the president seems more likable, whatever that means than mitt romney. >>guest: for the life of me i cannot figure it out. the president certainly is smooth. he is a very effective smiling politician. but he can say almost anything. >>neil: now he is arguing markets going my way, the economy is chugging along, these are not great numbers but they are not getting worse. that is what he said. what do you say? >>guest: stop it. take housing. we had a discussion --.

>>neil: look, even you make mistakes. >>guest: let's take this thing, let's take housing. housing was -- we used to, for decades, 1.5 million to 2 million houses now it is 743,000. >>neil: that is my point. we live in an age where we are used to the crappy numbers and when they are less than crappy, or not as crappy, we are happy. >>guest: we have 23 million people not working. food stamps at record levels. >>neil: you think when voters go to the polls they will say, we are tired of this. >>guest: we don't want to live in this economy. we want to live in a vibrant, growing economy, where children, where we have safety nets. but the safety nets are paid for

from taxes that are created from jobs. >>neil: you are not concerned that mitt romney, even by some of the republicans saying he looks callous, but the woman you are doing a big fundraiser for in connecticut, she did not agree with that. she is a republican, and connecticut is a blue state and she is trying to become a republican senator, what do you make of that? >>guest: linda is trying to say, i got 47 percent, and the other guy has 47," -- we are fighting for the middle and i will try and get it. i have to make the case it is good for all. >>neil: but the play has been --. >>guest: that is the media stuff. >>neil: the image could stick. >>guest: i want the image to be what america can be. not 743,000.

not for housing starts. i want 1.5 million to 2 million. i want unemployment at 5 percent. i want to pay off the deficit from taxes and growth. >>neil: it has to take growth. >>guest: it will take growth. >>neil: you cannot cut your way to it. begs but you can cut and grow. >>neil: the market has been percolating. there is the fact that if the market is good from labor day to election day, the incumbent wins. why? >>guest: free money. you don't get anything if you are a safer. we are losing $400 billion a year in interest payments to people that need it, retirees like me, who need income from our savings. we getting nothing. we have to play their market, we are being driven by a fed.

it is a phony rally. >>neil: i will put you down as a "maybe" on the president. >>guest: he is going to win. >>neil: mitt romney or the president? >>guest: mitt romney will win. why want you getting weak knees like the last session with charles no one is weak need. >>neil: they are phony worms and they will leave you if you look unpopular. >>guest: i was in nantucket with a guy who tried to convince me it was over. it was over. it was over. >>neil: we will see. [ engine revving ] ♪ [ male announcer ] every car we build must make adrenaline pump and pulses quicken. ♪ to help you not just to stay ale... but feel alive. the new c class is no exception.

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♪ ♪ >> neil: 16,000 people lost their jobs today and for the life of me i could not find chuck schumer, or any democrat expressing his or her outrage.

and i was looking everywhere. not even press release to denounce the reckless lay yuf of corporate america latest act of heartlessness. ore denouncing the sal of the earth union geis. not these guys. maybe because they were union guys. bank of america guys. by the end of the year they're all be out of the job. bank accelerating the cost-cutting plan. guess who got caught in the buzz vault? yep. those guys. workers who i guess have no lobby and clearly, engender very little sympathy. maybe because like i said they're not union. maybe because they're from an evil bank. maybe they're not union rand from evil bank. i don't know. but these 16,000 folks are just invisible. 16,000 workers packing boxes and belongings. but if politicians don't comment like a tree falling in a forest, no one is there to

hear it, maybe it didn't happen. it did. and it does. but because bank of america is done and who care, maybe that is also because none of this fits a liberal narrative that has eel banks are doing so well for themselves they won't so much as lift a finger for us. greedy, selfish bass saturday in their own doe but refusing to lend the dough. then the reality that crashes the party. politicians would sooner whine about boeing hiring 1,000 folks in a right to work state because they're not union. but dare say anything about the shedding of 16,000 folks in a different industry because they're bank of america. i'm still waiting for an outraged chuck schumer to come to the microphone. let's just say, i'm not banking on it. all right. tonight, fox business network. 8:00 p.m. meet the man who decades ago warned of this growing and

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